Data from KPMG’s Hong Kong Executive Salary Outlook 2022 report has revealed that executives across all sectors expect an increase in headcount whilst bonus payments are seen rebounding and salary expectations rising. The report also found that competition for talent remains high, compelling employers to search for creative ways to attract and retain workers.
Optimistic headcounts
Overall, more than a third of respondents (35%) expect to increase hiring at their Hong Kong-based operations this year with the overall headcount expectation strengthening with a 21% net improvement in the net proportion of respondents anticipating an increase.
Across both C-level executives and HR professionals, the prevailing view is that revenue generations, such as sales staff, fee earners and client relationship managers, will be the main area of focus for new hirings, followed by operations and IT.
In terms of sectors, professional services (44%) and financial services (39%) are the most eager to increase headcount, reflecting increased demand as businesses tackle new regulatory measures, focus on ESG initiatives and a tight employment market.
As job market sentiments rebound to paint a more positive picture, career moves seemingly made a comeback in 2021 compared to 2020 with 27% of respondents changing jobs. Salary and benefits, career progressions as well as organisational culture were reported as the primary motivators for those seeking new job opportunities.
Salary and bonus growth
Of those who changed job in the past year, around a third (36%) secured a pay increase of more than 20% whilst 19% were able to negotiate a 30% raise. On average, 50% of respondents received a pay raise last year with the highest increases in the financial services and professional services sectors.
Annual bonuses were also more generous last year with half receiving a bonus payment equivalent to more than one month’s salary. The overall average bonus paid rose from 1.83 months to 2.21 months last year.
Michelle Hui, Director, Executive Search and Recruitment, KPMG China commented, “With high demand from employers and high expectations among candidates, the competition for talent will drive innovation and force employers to look at alternative ways of recruiting and retaining talent. Meanwhile, the survey results suggest that an increasing number of employees are looking for a more agile and flexible working environment, which is a key to attracting and retaining talent.
Paul Arkwright
Publisher
